RESEARCH PROJECT ON: To study the opening of a café in Mumbai where orphans
will take care of the operations (fast food café)
Compiled by: -
We, Abhishek Gudi (151197) and Ganesh Kumar Maurya (151248),VI semester students of
IHM Ahmedabad would like to express our special thanks of gratitude to our Research
Project Guide, Mr Shashank Rajauria as well as our principal, Dr Jagat Krishna Mangaraj
who gave us the golden opportunity to do this wonderful project on the topic(To study the
feasibility of opening a café in Mumbai where orphans will take care of the operations),
which also helped me in doing a lot of Research and i came to know about so many new
things. I am really thankful to them.
Secondly I would also like to thank my parents, friends and other general public who helped
me a lot in compiling data and completing this project within the limited time frame.
I am also thankful to and fortunate enough to get constant encouragement, support and
guidance from the Teaching staff who guided us in many ways, providing untimely
knowledge.
This is to certify that Abhishek Gudi (151197) and Ganesh Kumar Maurya (151248) 6th
semester students of third year B.Sc. (H&HA) 2017-18 have satisfactorily completed their
research on “To study the feasibility to open a café where orphans will take care of the
operations”,under the guidance of Mr. Shashank Rajauria.
The thesis has reached the standard of fulfilling the requirements of the regulations relating
to the B.Sc. in Hospitality Management of the Institute of Hotel Management Ahmedabad.
The results embodied in this thesis have not previously formed the basis for any research
project and that it is an independent work done by them.
____________________
This is to certify that Abhishek Gudi and Ganesh Kumar Maurya have contacted their
research project guide on the following dates: -
OBJECTIVES: -
1. To help the orphans socially
2. Special training to be imparted to the orphans
3. To study the operational aspect of the cafe
RESEARCH METHEDOLOGY: -
1. Surveying several orphanages
2. Conducting interviews
3. Preparing and asking questionnaires and acting according to the responses
4. Imparting training to the selected orphans
A “café” is a basic restaurant having a simple seating serving snacks, light meals, beverages,
etc. It is a French word meaning “coffee”.
Setting up your own café will be the most exciting thing you have ever done. However, it is
not just about finding what we believe to be a good location, it is also about the number of
people we will cater to, efficiently and skilfully. Obviously we aim to earn profit since it is
not a welfare organisation and demand for fast food is at an exquisite level.
It will take careful thought, detailed planning and focus on our part. This guideline should be
viewed as a helpful map to get there, however consulting commercial agents, surveyors, land
owners, competitors and architects in relation to premises is advisable for our business plan.
We have to deal with problems and unexpected expenses and have understand the scope of
cost associated with opening the cafe. This is going to be challenging but is the major
concern to be kept in mind along with the following factors which affect in opening of the
café, such as: -
1. Competition
2. Location
3. Marketing
4. Capital
5. Clientele, etc.
The above shown pictures are those of a few fast food cafés.
1. TYPE OF CAFÉ: -The most important thing which is to be kept in mind while
opening a café. The café would be a quick service fast food café, since we are
recruiting orphans for operations, the skills will not match to that of fine dine
restaurant.
2. LOCATION: - Since a fast food café is to be opened, our major business will be
through students, hence our café will be established in a student based area, near
several schools and colleges.
3. CLIENTELE: - Students will be our major clientele, but it is not restricted to only
students, the café is open for every public.
4. MENU: - A simple a la carte menu is to be prepared initially consisting of a
stipulated number of snacks and beverages.
5. AVAILABILITY OF RAW MATERIALS: - One of the most important aspect
which includes deciding upon the supplier, which type of material, the quantity,
quality, brand etc. plays an important part.
6. COSTING: - Yes there are going to be heavy costs to be incurred in the pre-opening
stage but we will have to plan up to overcome the costs, pricing of menu is included
here, along with the tax policies and discounts (if any)
7. SERVICE STYLE: - The style of service is certainly not going to be formal since it
is a fast food café. Personalised services are not expected as in fine dine outlets.
Quick service will be provided tilted towards a casual service style.
However, while opening a café one should remember to keep a suitable name for it and to
justify it. Since the café is being run by orphans, “SMILE CAFÉ” is the name of our café and
the name is kept so as to socially motivate the orphans in order to work for themselves and
earn in order to bring smile on their face.
The café will be of 40 covers with 2 side stations
The decided set of staff working in the café will be orphans and obviously the source of
getting them to work will be The Bosco Boys Home. Surveys will be made deciding certain
criteria and procedures through which the orphans will be hired for the outlet inside the
orphanage.
MANPOWER REQUIRED
2. KITCHEN 8
3. KST 3
4. CASHIER 1
8 workers plus 1 handling the service section and the cashing section where rotation will
take place on time to time basis.
8 workers plus 2 working in kitchen and KST respectively and even here the rotation will
take place on time to time basis.
Location is an important factor to keep in mind before you open a restaurant or café, the same
implying for a fast food business because it will determine how many clients we will have. If
a fast food restaurant is located in a place with little traffic and visibility, the depth of
business most likely will not be successful. Fast food owners usually locate their restaurants
by highways, business streets and shopping centres and close to other fast food restaurants.
Malls, colleges and universities are also a good option for location.
Where do you think will be the most favourable place where fast food is easilyaccessible and
highly consumed?
As mentioned earlier that students will be our major clientele, it is evident that opening the
café in an area where student interface takes place the most is suitable for business.
According to several reports, students are primary consumers of fast food and yes it is also a
true fact observed almost every day by us.
So, from all the possible and available and possible options, the preference of opening the
café would be in a student based area. Keeping in mind all the necessary factors like the cost
of land, rent for the area, cost per sq. ft., etc. the café will be established in Thakur Village,
Kandivali(East), Mumbai (also mentioned in the staff selection section).
The reason for the same is that the locality is a combination of township planned area, ie. a
resident area along with a student based area. There are around three schools and colleges
each in the locality having a prestigious name in the city. Also it is conveniently accessible
from western express highway.
There are a few colleges even on other side of the highway, paving way to add more students
for business. Thakur Public School, Thakur Polytechnic College, Thakur Shyamnarayan
College etc. are few institutes in the locality attracting huge number of students for our outlet.
If we keep in mind that the location of our outlet is near schools, colleges, universities, etc.
then it is obvious that students will be our major clientele. Also if we don’t consider the
location first and focus on clientele, still we would go with students since they will be the
major source of revenue for any food or fast food business set up. Students will definitely be
the primary source of earning and it is obvious in every way that targeted clientele (in this
case it is students) are being previewed and pre questioned for their compatibilities which
also acts as a sales tool during the pre-opening stage.
But only focussing on students does not mean that the target customer set up is completed. As
earlier mentioned, students are the major clientele not the total clientele, so it is essential to
look for other sections of society who could be attracted to our business. As the location is set
up in such an area which is planned as a township, local residents living in the vicinity are
also targeted and act as a good revenue generating source. Particularly during holidays or
vacation days, they could help enhance the business.
Many restaurants have an overall theme that they want to stick to, which will often come
through in the design of the building and the way that the food is presented. Some focus on
fun and games, making them ideal for children, whereas others focus on class and prestige.
The menu has to reflect that in terms of the colours used and the way the various dishes are
presented and explained. As such, the text it contains should not be intimidating and the
service staff must make sure they are available to answer any questions you may have about
an item on the menu.
A Good Variety: -
While all restaurants have a set number of dishes, a good menu should highlight the variety
that the restaurant has to offer. After all, we all have different tastes so the menu should make
it clear that there are many different dishes that can accommodate that.
This comes down to information, in part, as a simple list of dishes without context may lead a
person to believe that there is little variance between them. However, a good menu should
highlight the different qualities of each dish and offer plenty of variety for every course, to
ensure that nobody feels like they have to order something that they don’t want to eat. Plus,
the experimental foodie may enjoy exploring dishes they have never heard of before, which
can only be done if there is enough variety on the menu in the first place.
But this will not be the case in our outlet since we are hiring an inexperienced and an
untrained staff (in form of orphans) and the menu should not be a complicated one. So there
will not be experimental dishes being introduced and the menu will be a simple fast food one.
Why a fast food menu? This is a question which is wondering everyone, but the fact of
keeping a fast food menu is based on several reasons. Here are some of those: -
1. Inexperienced and untrained staff
2. Students being our major set of target clientele
3. Location being near schools and colleges
4. Low initial costs incurred
5. No or minimal delay in food service
So a quick service restaurant will require such a menu that not only helps in generating
profits but also goes hand in hand with staff understanding and helps in achieving the desired
aims and objectives.
The final menu will certainly be set nearby to the competitor’s price
Staff Salary
Staff meal
Staff meal will be provided once in a day/shift. It is a compulsory practise for a shift lasting
around 7-8 hours and definitely certain costs will be incurred
Total staff = 20
Therefore, cost for meal of every employee (for a day) = 20*35 = 700
Technical training
Refresher training
Fire safety
Equipment handling
Motivation training
Handling computers
Soft skills training, etc.
Staff uniform
SERVICE EQUIPMENTS
Sr. No. Equipment Quantity Price Amount
1 Full plate 100 120 12000
2 Half plate 100 80 8000
3 Quarter plate 80 60 4800
4 Spoon 120 60 7200
5 Fork 120 50 6000
6 Tea spoon 70 30 2100
7 Bowls 80 75 6000
8 Glasses 80 60 4800
9 Juice glass 40 90 3600
10 Glasses for shakes 40 95 3800
11 Cruet set 20 pairs 40 800
12 Napkins 60 15 400
13 Toothpick holders 16 25 400
14 Underliners 40 30 1200
15 Service spoon 60 80 4800
16 Service fork 40 80 3200
17 Small bowls 70 30 2100
18 Trays 5 60 300
19 Salvers 8 100 800
FURNITURE
Sr. No. Item Quantity Price Amount
1 Table for 2 covers 4 2000 8000
2 Table for 4 covers 5 4000 20000
3 Table for 6 covers 2 6000 12000
4 Chairs 40 1000 40000
5 Locker 1 4000 4000
6 Cashier table 1 6000 6000
7 Chairs in kitchen 2 800 1600
8 Sofa 1 15000 15000
9 Side station 2 4500 9000
TOTAL COST
Total overall cost incurred will be the sum of all the above mentioned costs.
Therefore, total cost required for opening the outlet = Rs. 521130
ADVANTAGES: -
Saves Money
Saving money is the biggest selling point of fast food, right? It’s hard to cook for a family
while still keeping it cheap – no matter what you and your family eat. Not to mention if you
have kids, you know what it’s like to be a made-to-order chef every night for dinner. No one
wants to spend a ton of money to just be an under-glorified chef, and fast food definitely
eliminates that whole mess.
Saves Time
The second most obvious reason is that fast food is just that – fast. There is little or no
waiting involved in the process. Food is prepared in a matter of minutes and you can be on
your way.Many fast food restaurants also have drive thru’s which allow customers to order
and receive their food even more quickly. We don’t even have to get out of our cars to
purchase food. When compared to traditional restaurants, you could be saving over an hour of
time from ordering to finishing your meal.
Healthy Options
Although fast food has a reputation for being high in calories and fat, that is slowly
changing with the rise of the health-conscious population, which is increasing the
demand for healthy food options.Just about every fast food restaurant offers some
kind of healthy alternatives today.
Yes, it is a true fact that fast food and convenient food is easily accessible and
primary consumption for general public.It seems like you can find fast food
restaurants on nearly every street corner, and going to a drive-through or using home-
delivery makes going to a fast food restaurant appealing. Fast food restaurants enable
you to consume ready-to-eat, fresh, portion-controlled foods. If you want to eat
healthy food but don't want to prepare it at home, you can order something healthy
from a fast food restaurant.
DISADVANTAGES: -
More Fattening
Historically speaking, fast food has been very fattening. The production process involved in
creating fast food added a lot of greasy and fat content to foods. However, as mentioned in
the healthy choices section above, this is quickly changing.While most restaurants have your
normal greasy burgers and fries, they have also started to offer grilled chicken, fish, salads,
and healthy wraps. So whether you’re looking to eat a nice greasy meal or a healthy grilled
sandwich, fast food restaurants have what you want. Usage of oils and fats are increasing
steadily and hence the nutrient content becomes imbalanced and reduction of oils to ensure
fat free foods is necessary.
The greatest disadvantage of fast food is the adverse effect that it has on one's health.
It is a fact that fast food is unhealthier than home-cooked meals, as they contain
higher amounts of unwanted nutrients like salt, fat and various types of additives. In
many cases, fast food is highly processed and contains large amounts of
carbohydrates, added sugar, unhealthy fats and sodium. And when fast food
frequently replaces nutritious whole foods in your diet, it can lead to all sorts of bad
health outcomes.
Most fast food contains food additives and preservatives. A lot of these additives and
preservatives are harmful for the human body. Some of the preservatives have been known to
be very harmful. Additives do help in enhancing the taste and flavour of food but still their
use in inadequate quantity will backfire the preparation and must be refrained.
In this fast-paced world fast food is very much a permanent part of our lifestyle. To sum it up,
the argument for fast food advantages and disadvantages will never end. If someone wants to
eat fast food, there are always justifications for it.
Similar to bistros are brassieres, which offer slightly more elaborate meals.
Brasserie: -
A brasserie is a type of French restaurant with a relaxed setting, which serves single dishes
and other meals. The word brasserie is also French for "brewery" and, by extension, "the
brewing business". A brasserie can be expected to have professional service, printed menus,
and, traditionally, white linen unlike a bistro which may have none of these. Typically, a
brasserie is open every day of the week and serves the same menu all day. Check table cloths
are also common in brasseries.
Coffeehouses: -
Coffeehouses are casual restaurants without table service that emphasize coffee and other
beverages; typically, a limited selection of cold foods such as pastries and perhaps
sandwiches are offered as well. Their distinguishing feature is that they allow patrons to relax
and socialize on their premises for long periods of time without pressure to leave promptly
after eating, and are thus frequently chosen as sites for meetings.
Many cafés also serve some type of food, such as light snacks, muffins or pastries.
Coffeehouses range from owner-operated small businesses to large multinational
corporations. Since the development of Wi-Fi, coffeehouses with this capability have also
become places for patrons to access the Internet on their laptops and tablet computers. A
coffeehouse can serve as an informal club for its regular members.
Cafeteria: -
A cafeteria is a restaurant serving ready-cooked food arranged behind a food-serving counter.
There is little or no table service. Typically, a patron takes a tray and pushes it along a track
in front of the counter. Depending on the establishment, servings may be ordered
Theme restaurant: -
Theme restaurants are restaurants in which the concept of the restaurant takes priority over
everything else, influencing the architecture, food, music, and overall 'feel' of the restaurant.
The food usually takes a backseat to the presentation of the theme, and these restaurants
attract customers solely on the premise of the theme itself. The popularity of theme
restaurants has skyrocketed in recent years because of the parallel growth of the market for
items of nostalgia. As fast food restaurants offer cheap food in cookie-cutter buildings, theme
restaurants offer diners a good meal, as well as an experience
Understanding QSRs: -
A fast food restaurant, also known as a quick service restaurant (QSR) within the industry, is
a specific type of restaurant that serves fast food cuisine and has minimal table service. The
food served in fast food restaurants is typically part of a "meat-sweet diet", offered from a
limited menu, cooked in bulk in advance and kept hot, finished and packaged to order, and
usually available for take away, though seating may be provided. Fast food restaurants are
typically part of a restaurant chain or franchise operation that provisions standardized
ingredients and/or partially prepared foods and supplies to each restaurant through controlled
supply channels. The term "fast food" was recognized in a dictionary by Merriam–Webster in
1951.
Arguably, the first fast food restaurants originated in the United States with White Castle in
1921 and A&W in 1923. Today, American-founded fast food chains such as McDonald's (est.
1940) and KFC (est. 1952) are multinational corporations with outlets across the globe.
Variations on the fast food restaurant concept include fast casual restaurants and catering
trucks. Fast casual restaurants have higher sit-in ratios, offering a hybrid between counter-
service typical at fast food restaurants and a traditional table service restaurant. Catering
trucks (also called food trucks) often park just outside worksites and are popular with factory
workers
CUISINE
Modern commercial fast food is highly processed and prepared on a large scale from bulk
ingredients using standardized cooking and production methods and equipment. It is usually
rapidly served in cartons or bags or in a plastic wrapping, in a fashion which reduces
operating costs by allowing rapid product identification and counting, promoting longer
holding time, avoiding transfer of bacteria, and facilitating order fulfilment. In most fast food
operations, menu items are generally made from processed ingredients prepared at central
supply facilities and then shipped to individual outlets where they are cooked (usually by
grill, microwave, or deep-frying) or assembled in a short amount of time either in anticipation
of upcoming orders (i.e., "to stock") or in response to actual orders (i.e., "to order").
Following standard operating procedures, pre-cooked products are monitored for freshness
and disposed of if holding times become excessive. This process ensures a consistent level of
product quality, and is key to delivering the order quickly to the customer and avoiding
labour and equipment costs in the individual stores.
Because of commercial emphasis on taste, speed, product safety, uniformity, and low cost,
fast food products are made with ingredients formulated to achieve an identifiable flavour,
aroma, texture, and "mouth feel" and to preserve freshness and control handling costs during
preparation and order fulfilment. This requires a high degree of food engineering. The use of
additives, including salt, sugar, flavourings and preservatives, and processing techniques may
limit the nutritional value of the final product.
Bunkers’ Café
The J
Craving Bite
Rolls Mania
Faasos
Tibbs Frankie
Sandwizza
Mc Donald’s, KFC, Dominos, Subway etc. are other retail segments in the vicinity who could
act as competition, definitely generating higher revenues. These outlets will be helpful in
setting meus, deciding prices, etc.
1. Trade licence
Trade License is a certificate/document which grants us the permission to carry on the
particular trade or business for which it is issued. It does not confer ownership of property
or permission for any other activity than for which it is issued. Business licenses permits
are issued by government agencies that allow individuals or companies to conduct
business within the government's geographical jurisdiction. It is the authorization to start
a business issued by the local government. A single jurisdiction often requires multiple
licenses that are issued by multiple government departments and agencies. Business
licenses vary between countries, states, and local municipalities.
There are often many certifications and documents required to attain the trade license
some of them being: -
Some of the documents that are needed to apply for the FSSAI License: -
Once you have these documents in place, you can apply for the license which would
approximately cost you around Rs.2000 per year for a new license. The application process is
rather simple, you can log in to the FSSAI website, complete the sign-up process by creating
a username for the registration. Then sign in to your account and fill up the online application
with all the required documents. Submit the printout of the filled up online application form
to the Regional/State Authority with all the supportive documents within 15 days from the
date of making the online submission, to ensure that your application is considered.
GST (Goods and Services Tax) that came into force since 1st of July, 2017, has kept
everyone hitched to it with this frequent changes. Both the restaurant industry and the
government has been in loggerhead for long. Even then registering in GST is one of
the major things that your restaurants must do, that will ensure that your restaurant
runs seamlessly.
Yes if you are thinking to take a big bite or leap of faith, it is easier to start your own billing
and business now because GST registration is a simple process wherein Individual,
Partnership firm or Registered Company can obtain by filing basic documents online at
www.gst.gov.in .
The confusion regarding GST has been going around for quite some time now. With the
increasing changes, both the restaurant owners and the diners are living in this constant
apprehension of further changes that might be incorporated. However, there are several
channels that are trying to make things easier for the restaurant owner.
Documents to prove the legal occupancy of the place of Eating House and in the
case of tenancy, NOC from the landlord
Site Plan containing details of the size of Eating House
Photographs of the place showing its usage as an Eating House
Photocopy of Valid NDMC/MCD/DCB/Airport Authority of India trade license
and free receipt.
Residence proof of the applicant
An affidavit on the stamp paper of Rs 10 duly attested by Notary Public
Fire NOC, if seating capacity of the eating house is 50 or more
Undertaken with regard to amusement activities
Undertaking regarding the installations of CCTV Cameras with 30 days recording
facility.
The applicant will have to first register himself or herself on the specific website. After you
are successfully registered you will receive a User ID and Password for submission of forms.
Using the user ID, you can fill up the form, upload all the necessary documents and fix an
appointment. Self-attestation of all the documents you place is a must since it will ensure
validation.
Pan Card
Identity Proof
Address proof of the proprietor, partner or the company
Details of the employees
Once you have arranged all the above-mentioned documents, you can submit these with the
application form mentioning the name of the shop, the postal address of the establishment
and the proof of ownership such as the Rent Agreement or Shop Lease Papers to the Local
Chief Inspector of the shop or other Inspectors. Once the government officials verify all the
documents he registers the restaurant in the Register of Establishment and issues a
registration certificate. This certificate must be explicitly displayed at your restaurant and
must always be renewed before its expiration. You would roughly obtain this license within
7-10 working days. If you wish to change any information, you must inform the Inspector
within 15 days so that he could then make the changes in the register of the establishment and
issue a fresh registration certificate. It is also mandatory to inform the local inspector
regarding the closure of the business within 15 working days
These are the licenses that will legally permit you to carry on with your restaurant business in
India without getting involved in the legal hindrances.
CAFÉ SMILE
MENU CARD
Medu Wada 35
Dosa 45
Masala Dosa 60
Cheese Dosa 60
Onion Uthappam 50
Tomato Uthappam 60
Grilled Sandwich 55
Coleslaw Sandwich 60
Veg. Burger 45
Paneer Burger 70
PIZZAS
Margarita Pizza 100
CHAAT
Pani Puri 25
Bhel 35
Researchers: -Abhishek Gudi and Ganesh Kumar Maurya 42
Sev Puri 35
Ragda Patties 40
CHINESE
Chilly Paneer 90
Dry Manchurian 80
Manchurian Gravy 80
ROLLS/WRAPS
Veg. Roll 60
Paneer Roll 80
BOMBAY SPECIAL
Vada Pav 20
Samosa (2 pieces) 30
Missal Pav 55
Pav Bhaji 70
Extra Pav 05
DRINKS
Fresh Mosambi Juice 60
Cold Coffee 70
There were certain questions asked to the customers during market survey in the preopening
stage of the café
NAME: - ____________________________________
5.What is your spending capacity while you have fast food (in Rs.)?
7. Apart from students, which other type of clientele can increase our business?
a) Seating b) standing
c) Take aways d) all of the above
10. Which type of food taste you prefer while having fast food?
13. Do you think opening a fast food outlet in a student based area will be profitable?
a) Yes b) No
14. Will there be higher costs for fast food as compared to that for a nutritional one?
a) Yes b) No
15%
25% both
none
25%
15%
25%
very rarely
15% rarely
frequently
more frequently
45%
8%
12%
31%
in the morning
in the evening
at night
any time
49%
9%
28%
saves time
easily available
35% cheap priced
all of these
28%
15%
30%
below 100
15% 100-200
200-300
300-400
40%
7%
47% pizza
chaat
sandwiches
23%
30%
local residents
45% business clientele
government servants
all of these
15%
10%
25%
35% seating
standing
take away
all of the above
5%
35%
10%
10. Which type of food taste you prefer while having fast food?
20% 15%
sour
plain and salty
20%
spicy
savory
45%
10%
10% 30%
fine dine
fast food outlet
specialty restaurant
others
50%
20%
35% chinese
indian
italian
20%
all of these
25%
20%
yes
no
80%
14. Will there be higher costs for fast food as compared to that for a
nutritional one?
25%
yes
no
75%
After looking at all the procedures, step by step and following them cautiously and
preparedly we conclude that our fast food café (café smile) can be established at the desired
location (Thakur Village). We have discussed all the necessary factors required to establish
this outlet including the costs, target clientele, the benefits of orphanages to work and gain
experience, their social obligations getting fulfilled along with all the legal formalities to be
finished.
Also surveys were conducted in order to know the preferences, and according to it, we have
the scope of opening the outlet at the preferred location since the results were very positive.
Also this is a new concept of employing orphanages, since there are lots of cafes or
restaurants where disabled people work and it is common nowadays but having orphans as
workers is something new or very rare. Although there are a lot of competitors still there is
scope of good revenue generation, as the business goes on.
Also this project taught the plan and way to open a business and at last we would like to say
that opening café smile is possible
Since it is just the opening phase of the business, the sales cannot be predicted
accurately
Due to lot of competition, it will be challenging to generate
adequate sales
The competitors initially didn’t respond during the time of survey
Also according to the survey, we observed that only these two clienteles (students and
local residents) will contribute to our major source of earning
http://justhealthlifestyle.com/fast-food-advantages-and-disadvantages-bad/
http://www.freepressjournal.in/mumbai/apply-for-your-restaurants-bmc-license-permission-
online-find-out-how/1077634
https://www.posist.com/restaurant-times/resources/licenses-required-to-open-a-
restaurant.html
https://www.zomato.com/mumbai/kandivali-east-restaurants
https://www.justdial.com/Mumbai/Orphanages-in-Borivali-West/nct-10344906